State of Nebraska
Administrative Services – State
Accounting Division
Risk Assessment Roadmap Toolkit
Risk
Control Methods and Measures
Risk Control Methods
- Avoidance
– There’s a great deal of risk. You don’t want to assume the risk and it
can’t be transferred, so you avoid the risk altogether. This method
eliminates any possibility of loss. It is achieved either by abandoning or
never undertaking an activity or asset.
- Loss
Prevention – Reduces the frequency or
likelihood of a “particular” loss. Examples include:
- Improve
security measures to reduce the possibility of arson or theft.
- Improve
maintenance of facilities to reduce the possibility of a tripping hazard.
- Loss
Reduction – Reduces the severity or cost of
a “particular” loss. Examples include:
- Require
the use of seatbelts to reduce the chance of bodily injury in a vehicle
collision.
- Require
the use of hearing protection to reduce the chance of a hearing loss.
- Reduce
the cost of workers’ compensation claims through the use of return to
work programs.
- Segregate
Losses – Arrange your agency’s activities and assets to
prevent one event from causing loss to the whole. There are two methods –
duplication and separation.
- Separation
– your activities or assets are distributed among
multiple locations.
- Duplication
– relies on spare or duplicates that are only used if assets or
activities suffer a loss.
- Contractually
transfer the risk.
Examples of Risk Control Measures
·
Personal
Protective Equipment
·
Housekeeping
·
Inspections
·
Tools and
Equipment
·
Policies, Procedures,
Processes
·
Supervision
·
Contract
Management and Administration
·
Performance
Expectations
·
Training
Rev 02/08